Date: 22nd July, 2026
Board Meeting Outcomes
- The Board meeting held on 30th June, 2026 deliberated on non-compliance with SEBI LODR requirements pertaining to board composition and committee constitution for quarter ended 31st March 2026
- The Board noted the position of non-compliances with respect to composition of the Board and constitution of committees namely Audit and Nomination and Remuneration
- The Board desired that follow-up be made with the appointing authority i.e. Ministry of Railways (MOR) to expedite appointment of requisite number of Independent Directors (including one Women Independent Director)
- The Board noted that stock exchanges have been requested to waive the fine imposed on the Company
- The Board noted that in earlier instances of similar non-compliance from March 2021 to December 2025, NSE & BSE had waived fines
Regulatory Compliance Disclosure
NSE Fine Details (Received 27th May 2026)
- Reference: NSE/LIST-SOP/COMB/FINES/0611
- Non-compliance with Regulation 19(1)/19(2) for quarter ended March 2026
- Total fine payable: ₹8,10,000 (basic fine)
- Fine increases daily until compliance is achieved
- Payment required within 15 days from notice date
BSE Fine Details (Received 27th May 2026)
- Multiple regulation violations for quarter ended March 2026:
- Regulation 17(1): Non-compliance with board composition requirements including failure to appoint woman director - Basic fine: ₹4,50,000 + GST ₹81,000 = Total ₹5,31,000
- Regulation 18(1): Non-compliance with constitution of audit committee - Basic fine: ₹1,80,000 + GST ₹32,400 = Total ₹2,12,400
- Regulation 19(1)/19(2): Non-compliance with constitution of nomination and remuneration committee - Basic fine: ₹1,80,000 + GST ₹32,400 = Total ₹2,12,400
- Total fine payable: Basic ₹8,10,000 + GST ₹1,45,800 = Total ₹9,55,800
- Failure to pay within 15 days may result in freezing of promoter shareholding
- Second consecutive quarter of non-compliance for Regulation 17(1), 18(1), 27(2) could result in transfer to Z group and trading suspension
Company Position and Response
- IRFC being a Government Company, the power to appoint Directors vests with the President of India through administrative ministry i.e., Ministry of Railways (MOR)
- Company has no control in the appointment of Directors on its Board
- Company has requested waiver of fines from both exchanges citing that appointment matter is beyond company's control
- Previous fines for similar non-compliance from March 2021 to December 2025 were waived by exchanges
Additional Requirements
- The non-compliance matter and exchange action must be placed before the Board in next meeting
- Board comments must be informed to exchanges through NEAPS portal
- Compliance is prerequisite for applying for waiver
- Non-refundable processing fee of ₹10,000 + 18% GST required if fine amount exceeds ₹5,000